Why Shazam is worth $1 billion

With rumors abounding that Shazam is considering a public stock offering or is about to accept a takeover bid, the future seems bright for the music recognition app that was recently valued at $1 billion.

It might only be 4% of internet users aged 16-64 who say they are using Shazam each month but the key fact here is how many of these users are buying music online (and keeping Shazam’s revenue streams open).